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Learn about your vehicle financing options

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There are very few people in the world who can walk into a dealership and pay cash for their new vehicle. For most, financing is required in order to purchase a new car. There are a variety of financing options available to you, and it's important to know the difference between the two main options: leasing and financing.

Most people opt to finance the purchase of their new vehicle. With financing, you can decided the length of the term, which will calculate the monthly payment. Many dealerships offer in-house financing. For example, Marigold Ford in Whitby offers competitive interest rates from Ford Motor Company of Canada. Most financing requires a cash down payment or an equivalent trade-in. The benefits to financing are that once the loan has been paid off, the vehicle is yours to keep. You also don't have to keep your eyes on the mileage to make sure you are not going over your allotment.

Leasing is often popular with those who are self-employed, as the tax benefits are greater than buying. With a lease, you are essentially paying the depreciation cost of the car over the leased period. There are a variety of options with leasing, from the number of years you choose to lease, to the number of kilometers you plan on driving while you have the vehicle. At the end of your term, you have the option of buying out the vehicle and keeping it, or returning it to the dealership. Payments are typically less than financing, which may allow you to drive a nicer car than if you were financing it. But make sure you know your driving habits before you sign on the dotted lines. Going over the allotted mileage can be costly.

The experts at Marigold Ford can help you decide which option will work the best for you, your budget and your lifestyle.

Marigold Ford Lincoln Sales is located at 1120 Dundas Street East in Whitby. For more information, call (905) 668-5893 or visit www.marigoldfordsales.com.